Negotiable Instruments Act, 1881 — Section 138 — The appellant lent Rs. 2,00,000 to the respondent, who issued a cheque as a guarantee — The cheque was dishonored due to insufficient funds — Whether the respondent committed an offence under Section 138 of the Act, 1881 and Section 420 of the IPC — The appellant argued that the respondent failed to repay the loan and intentionally cheated him — The respondent claimed the cheque was issued for security purposes to a third party and denied the loan transaction — The Supreme Court dismissed the appeal, affirming the High Court’s judgment that favored the respondent’s acquittal — The court found contradictions in the appellant’s statements and lack of evidence regarding the loan transaction — The court emphasized the presumption under Section 139 of the NI Act, 1881, and the burden on the respondent to rebut it — The appeal was dismissed, and the respondent’s acquittal was upheld.
2024 INSC 586 SUPREME COURT OF INDIA DIVISION BENCH SRI DATTATRAYA — Appellant Vs. SHARANAPPA — Respondent ( Before : B.V. Nagarathna and Augustine George Masih, JJ. ) Criminal Appeal…